On Sunday, a rumor about the possible resignation of Gary Gensler - the chairperson of the Securities and Exchange Commission went viral in the crypto
On Sunday, a rumor about the possible resignation of Gary Gensler – the chairperson of the Securities and Exchange Commission went viral in the crypto community.
According to the reports, Gensler was about to resign his position as the chair of the Commission following an internal investigation in the agency. The rumor was fueled by some prominent accounts in the crypto community.
Is Gary Gensler really resigning?
However, the SEC’s PR team dispelled the rumor earlier today via an email response that was shared on Twitter. Fox Business journalist Eleanor Terrett reached out to the Commission’s PR team regarding the circulating rumor and the question was answered straightforwardly. The response implied that Gensler still remains the SEC chair and the rumors are false.
The response from the @SECGov’s PR team when asked whether the rumors of @GaryGensler resigning his position as Chairman following an alleged internal investigation had any merit. 👇🏼 https://t.co/LAKpdrytac pic.twitter.com/w71dbfsRHh
— Eleanor Terrett (@EleanorTerrett) July 3, 2023
Given the level of pressure Gensler has mounted on crypto firms recently with back-to-back lawsuits, his resignation would have produced a major rally in the crypto market.
Cryptocurrency influencer Ben Armstrong further stated that the possibility of Gary Gensler resigning is “almost definitely false.” According to him, if he ends up leaving the Commission, it won’t be a resignation.
“What I was told by an insider today when I asked about Gensler: Gensler resigning is almost definitely false. If he ends up leaving soon, it more than likely won’t be a resignation,” he said.
Related Reading: Jake Chervinsky Says SEC’s Gary Gensler Needs to Step Aside
Interestingly, the majority of the crypto community was sad that it was just a rumor, leaving their “hope” dashed.
Why would you do that to me. Couldn’t let us have a little bit of hope for just a bit longer 😢
— The Mad Scientist (@MadSciCrypto) July 3, 2023
The SEC has been in constant legal battle with big players in the crypto industry. Its case with Ripple has been ongoing since 2020. Also, in June 2023, the Commission filed a lawsuit against two of the biggest names in the industry, Coinbase, and Binance, accusing them of offering unregistered securities and also operating an unregistered exchange.
Gary Gensler assumed the position of SEC chairperson on April 17, 2021, after being nominated by President Joseph Biden in February. The crypto community was optimistic about his leadership given his deep understanding of the crypto market and the underlying blockchain technology.
However, the enthusiasm was faulted when Gensler became too strict on the crypto industry and turned out to be more vigilant than his predecessor Jay Clayton.